Country Total Support Estimate (TSE)
and derived indicators in Table 1 cover all agricultural
production, i.e. all agricultural commodities produced in the country.
Definitions of basic data sets refer to the specific name of the programmes with specific sources indicated in square
brackets. For the Producer Support Estimates (PSE) and Consumer Support
Estimates (CSE), the description of policy measures indicates the
commodities covered by the measures, as well as the method of allocation of the
corresponding transfers among commodities. "MPS commodities", which
vary across countries, are those for which market price support is explicitly
calculated in Table 2.

Market Price Support (MPS) and Consumer
Support Estimates (CSE) by commodity in Table 2 are calculated
for the following commodities: wheat, barley, rice, soybeans, sugar, milk, beef
and veal, pig meat, poultry meat, eggs, apples cabbage, cucumbers, grapes,
mandarins, pears, spinach, strawberries and welsh onions. Definitions are
provided only for basic data sets from which all the other data sets in this
table are derived, following the formula indicated in each commodity table.
Specific sources are indicated in square brackets.

Producer Support Estimates (PSE) by
commodity in Table 3 are calculated only for commodities produced
in the country within a common set of commodities (wheat, maize, barley, oats,
rice, sorghum, soybeans, sunflower, rapeseed, sugar, milk, beef and veal, pigmeat, poultry meat, sheep meat, wool, and eggs),
provided that the value of production of that commodity exceeds 1 per cent of
the total value of production in the country concerned. All data sets in the
calculation of PSE by commodity come from Tables 1 and 2 where
definitions are included.

Definitions of
the indicators, criteria of classification of programmes
included, and methods of calculation can be seen in OECD, Methodology for
the measurement of support and use in policy evaluation [http://www.oecd.org/agr/policy].

The fiscal year (FY) in Japan is from 1
April to 31 March.

Table
1. JAPAN: Total Support Estimate

Definitions:

I. Total value of production (at farm gate): Total agricultural
production valued at farm gate prices, i.e. value (at farm gate) of all
agricultural commodities produced in the country [1].

1. Of which share of MPS commodities (%):
Share of commodities for which MPS is explicitly calculated (in
Table 2) in the total value of agricultural production.

II. Total value of consumption (at farm gate): Consumption of all
commodities domestically produced valued at farm gate prices, and estimated by
increasing the value of consumption (at farm gate) of the MPS commodities
according to their share in the total value of agricultural production [(II.1)
/ (I.1) x100].

1. Of which MPS commodities: Sum of the value
of consumption (at farm gate prices) of the MPS commodities as indicated in
Table 2.

III.1Producer Support Estimate (PSE): Associated with total
agricultural production, i.e. for all commodities domestically produced
[Sum of A to H; when negative, the amounts represent an implicit or explicit
tax on producers].

A. Market Price Support: On quantities
domestically produced (excluding for on-farm feed use -- excess feed cost)
of all agricultural commodities, estimated by increasing the MPS for the MPS
commodities according to their share in the total value of agricultural
production [(A.1) / (I.1) x 100].

1. Of which MPS
commodities: Sum of the MPS (net of price levies and excess
feed cost) for the MPS commodities as calculated in Table 2.

B. Payments based on output

1. Based on unlimited output

Production
promotion of sugar: payment
per tonne of beet (cane) multiplied by quantity of
sugar beet (cane) production.

Production
promotionof cheese:payment per tonne
of milk used to product cheese.

Deficiency
payment for beef calf producers: payment per tonne calculated as the
difference between the guaranteed standard price and average market price,
multiplied by the quantity of beef calf production.

PSFE
payment: payment per tonne under the Price Stabilisation
Fund on Eggs to egg producers under contract, calculated as
90 per cent of the difference between standard price and average market
price, multiplied by the quantity of egg production.

FVSSF
payments: payment per tonne under the Fruits and Vegetables
Supply Stabilisation Fund to producers under contract,
calculated as 90 per cent of the difference between standard price and
average market price, multiplied by the quantity of production of specific
fruit and vegetables.

Production promotion of barley
in feed use: payment per tonne of barley for feed
use, multiplied by the quantity of production.

Output payment for soybean:
payment per tonne of
soybean multiplied by the quantity of production.

JRIS
programme:
budgetary expenditure under the Rice Farming Income Stabilisation Program (JRIS), introduced in 1998,
to compensate voluntary marketed rice producers for part of the loss of income
caused by a fall in the market price. Eligible producers have to fulfil the required diversion target of the year, enter
into a contract with agricultural co-operatives and deposit certain amount of
money as "limited withdrawal deposit" in the co-operatives.

[Deficiency
payment for soybeans: payment per tonne
calculated as the difference between the standard producer price and average
market price, multiplied by the quantity of soybeans production within the
supply control limit decided by the government. Abolished in 2000 crop.]

Compensatory
payment for manufacturing milk: budgetary expenditure under the new "Temporary
Law for Compensation Prices for Producers of Milk for Manufacturing
Purposes", introduced in 2001, to compensate dairy farmers for part
of the loss of income caused by a fall in the market place for manufacturing
milk.

[Deficiency
payment for manufactured milk: payment per tonne
calculated as the difference between the guaranteed producer price and average
market price, multiplied by the quantity of manufactured milk within quota.
Abolished in 2001 FY.]

C. Payments based on area planted/animal numbers

1. Based on unlimited area or animal numbers

2. Based on limited area or animal numbers

D. Payments based on historical entitlements

1. Based on historical plantings/animal numbers or production

2. Based on historical support programmes

E. Payments based on input use

1. Based on use of variable inputs

Interest
concessions: budgetary expenditure
on the Government and quasi-government loan programmes
to provide low interest loans for purchasing variable inputs, estimated as half
of total outstanding loans [the other half being for purchasing fixed inputs
and included under E.3. Based on use of fixed inputs]. Allocated to individual
commodities according to their share in the total value of production.

Insurance: budgetary expenditure on the part of the premium
that farmers have to pay for agricultural insurance. The budget data by
commodity is available.

2. Based on use of on-farm services

Extension
services: budgetary expenditure on
advisory services, allocated to individual commodities according to their share
in the total value of production.

Pest and disease control: budgetary expenditure on the animal health control
scheme allocated to individual commodities according to their share in the
total value of production.

3. Based on use of fixed inputs

Infrastructure: budgetary expenditure on the on-farm infrastructure
improvement scheme, including irrigation and drainage facilities and
readjustment of agricultural land. Allocated firstly to crop and livestock
products according to their share in the infrastructure budget and, secondly,
to individual commodities according to their share in the total value of
production.

Disaster
restoration: budgetary expenditure
on the on-farm basis disaster restoration programme
allocated to individual commodities according to their share in the total value
of production, except for cattle, which is allocated to beef and milk according
to their share in the number of cattle.

Interest
concessions: budgetary expenditure
on the Government and quasi-government loan programmes
to provide low interest loans for purchasing fixed inputs, estimated as half of
total outstanding loans [the other half being for purchasing variables inputs and
included under E.1. Based on use of fixed inputs]. Allocated to individual
commodities according to their share in the total value of production.

Payments to farmers in hilly
and mountainous areas: payments per hectare to farmers who farm agricultural
lands in certain naturally, economically and socially disadvantaged regions,
designated by regional assistance laws and meeting certain objective criteria
regarding the slope, shape or size. Although the prescribed land is intended
for farming, producers are not obliged to produce any commodities. Allocated to
individual crops according to the value of production.

F. Payments based on input constraints

1. Based on constraints on variable inputs

2. Based on constraints on fixed inputs

Diversion
programs: payment made under various
diversion programmes, replaced by the Production
Adjustment Promotion Programme (PAPP)
in 1998. The PAPP payment is applied to the area of paddy field where
other uses than rice production was implemented. The producers must use the
paddy field complying with environmental programme
fixed by the government. Allocated according to the proportion of diverted area
from rice to each crop, half of the payment being counted for rice.

3. Based on constraints on a set of inputs

G. Payments based on overall farming income

1. Based on farm income level

2. Based on established minimum income

H. Miscellaneous payments

1. National payments

2. Sub-national payments: no
data available

III.2Percentage PSE [(III.1) / ((I) + (Sum of B to H)) x 100]

III.3Producer NPC: For all agricultural commodities the Producer NPC
is estimated as a weighted average of the producer NPC calculated for the
individual MPS commodities and shown in Table 2. For each commodity
Producer NPC = [domestic price received by producers (at the farm gate) +
unit payments based on output] / border price (also at the farm gate).

III.4Producer NAC [1 / (100 - (III.2)) x 100]

IV. General Services Support
Estimate (GSSE): total
budgetary expenditure to support general services provided to agriculture [ Sum
of I to O].

Disaster restoration: budgetary expenditure for the restorations of
off-farm equipment under the disaster restoration programme.

Early retirement programme:
budgetary expenditure for early retirement of farmers under the pension scheme.

M. Marketing and
promotion

Budgetary expenditure on
marketing and promotion of domestic production.

N. Public stockholding

Budgetary expenditure on
public stockholding of rice, wheat, soybeans and feed grains.

O. Miscellaneous

1. National expenditure

2. Sub-national expenditure: not available.

V.1 Consumer Support Estimate (CSE): Associated with agricultural
production, i.e. for the quantities of commodities domestically produced,
excluding the quantities used on-farm as feed -- excess feed cost. [Sum
of P to S; when negative, the amounts represent an implicit tax on consumers].

P. Transfers to producers from consumers: Associated
with market price support on all domestically produced commodities, estimated
by increasing the transfers calculated for the MPS commodities according to
their share in the total value of production
[(P.1) / (I.1) x 100].

1. Of which MPS commodities:
Sum of the values of transfers from consumers to producers associated with
market price support for the MPS commodities as calculated in Table 2.

Q. Other transfers from
consumers: Transfers to the budget associated with market price support
on the quantities imported of domestically produced commodities, estimated by
increasing the transfers calculated for the MPS commodities according to their
share in the total value of production
[(Q.1) / (I.1) x 100].

1. Of which MPS
commodities:Sum of the transfers to the budget associated with
market price support on the quantities imported of the MPS commodities as
calculated in Table 2.

R. Transfers to consumers from taxpayers

School
lunch scheme: budgetary expenditure
under the programme for the promotion of rice and
milk consumption in schools. The budget data by commodity is available.

S. Excess Feed Cost: associated
with market price support on quantities domestically produced and used on-farm
as feed as calculated in Table 2.

V.2Percentage
CSE [(V.1) / ((II) - (R)) x 100]

V.3Consumer NPC: For all agricultural commodities the Consumer NPC
is estimated as a weighted average of the consumer NPC calculated for the
individual MPS commodities and shown in Table 2. For each commodity
Consumer NPC = domestic price paid by consumers (at the farm gate)/ border
price (also at the farm gate).